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Dollar hovers at 6-month lows vs. rivals in subdued trade

Published 04/11/2016, 08:20 AM
Dollar remains under pressure vs. other majors in quiet trade
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Investing.com - The dollar was hovering at six-month lows against the other major currencies in subdued trade on Monday, as no major U.S. economic data was scheduled to be released throughout the session.

USD/JPY edged up 0.10% to a 17-month low of 108.22.

Japan’s Chief Cabinet Secretary Yoshihide Suga said Monday the government was closely monitoring the foreign exchange market and added that the moves in the yen were one-sided and speculative.

But investors stuck to the view that Japan will refrain from any direct action to stem the yen’s gains until at least after this week's G20 meetings in Washington.

Separately, the dollar remained weaker against the yen on the view that the Federal Reserve will stick to a cautious approach on hiking interest rates this year amid concerns over the outlook for the global economy.

Lower interest rates make the dollar less attractive to yield seeking investors.

EUR/USD was little changed at 1.1397.

Meanwhile, the dollar was lower against the pound, with GBP/USD up 0.70% at 1.4223 and was fractionally higher against the Swiss franc, with USD/CHF easing up 0.09% to 0.9545.

The Australian and New Zealand dollars were stronger, with AUD/USD up 0.16% at 0.7568 and with NZD/USD gaining 0.41% to 0.6835.

Elsewhere, USD/CAD held steady at 1.2981.

The U.S. dollar index, which measures the greenback’s strength against a trade-weighted basket of six major currencies, was down 0.10% at 94.13, just off six-month lows of 94.02 reached overnight.

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